#IT
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Question :

A sports club, incurred tournament. Expenses of Rs.2,10,000 whereas it has only Rs.1,80,000 in its Tournament Fund A/c. This information will be reflected as:

Option 1:

Debit Income and Expenditure A/c by Rs.30,000

Option 2:

Credit Income and Expenditure A/c by Rs.30,000

Option 3:

Rs.30,000 Tournament Fund on the asset side of

Balance Sheet

Option 4: Rs.30,000 Tournament Fund on the liabilities side of Balance Sheet


Team Careers360 21st Jan, 2024
Answer (1)
Team Careers360 23rd Jan, 2024

Correct Answer:

Debit Income and Expenditure A/c by Rs.30,000


Solution : Tournament Fund to be debited to Income and Expenditure A/c = Expenses - Balance of Tournament Fund = Rs.2,10,000 - Rs.1,80,000 = Rs.30,000.
Hence, the correct option is 1.

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